The definitive agreement in relation to this acquisition was signed on October 24, 2018.
Shares of Zydus Wellness gained 2.3 percent in the early trade on Wednesday after company received CCI approval for acquisition of businesses of Heinz.
The Competition Commission of India (CCI) has granted approval for the company's acquisition of Heinz India jointly with Cadila Healthcare.
The definitive agreement in relation to this acquisition was signed on October 24, 2018.
Zydus Wellness will primarily be acquiring the business related to the four brands-Glucon-D, Nycil, Sampriti and Complan, through this transaction. Of these, Complan, Glucon-D & Nycil have a legacy of over 50 years and Glucon-D & Nycil are leading brands in their respective markets, as per company release.
The CCI approval takes company one step closer to completing the acquisition, which is expected to unlock significant value for company by enriching its portfolio and expanding the reach of its distribution network, it added.
Company earlier announced that it will be raising Rs 2,574.99 crore through issue of shares on a preferential basis to fund the Rs 4,595 crore Heinz India acquisition.
The issue price of equity shares is fixed at Rs 1,382, which is calculated in accordance with the requirements of the SEBI ICDR.
Cadila Healthcare holds around 72.08 percent of Zydus Wellness, while the Zydus Family Trust holds about 0.45 percent.
At 09:19 hrs Zydus Wellness was quoting at Rs 1,330, up Rs 26.05, or 2 percent and Cadila Healthcare was quoting at Rs 349.50, up Rs 3.45, or 1.00 percent on the BSE.
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